Sao Tome and Principe select four bidders for two oil blocks auction

Friday, 07 February 2014 08:10

The central African island country had began awarding offshore blocks after signing an agreement with Nigeria in 2001. (Image source: Hakonthingstad/Flickr)The island nation of Sao Tome and Principe has short-listed four companies to bid on two offshore oil blocks — Block 1 and Block 6 — located in its exclusive economic zone

According to a statement released by the state oil company National Oil Agency (ANP), Portugal’s Galp Energia and London AIM-listed New World Oil and Gas will compete for both blocks.

Blue Skies World Group would be bidding on Block 1, while London Global Energy is looking to acquire Block 6, the statement added.

The central African island country had began awarding offshore blocks after signing an agreement with Nigeria in 2001 to jointly develop acreage in waters between the two countries. However, it has been slower to attribute blocks in the territorial waters surrounding its two main islands.

Sinoangol, a joint venture between China’s Sinopec and Angolan state oil company Sonangol, had acquired Block 2 in the exclusive economic zone last year, and are likely to invest US$154mn to develop the concession.